The major difference between a Condo and a Cooperative (Coop) is in the type of ownership. With a condo the owner actually owns real estate and gets title to this unit usually in a fee simple title. With this ownership comes and undivided interest in the unit and the common areas of the building.

In a Coop you do not own real estate rather your ownership is a percentage in a not-for-profit corporation. As a shareholder you get to lease space in the building. The corporation owns the common area space.

Because condos are owned individually and as such each condo unit has its own seperate real estate tax bill.

With coops there is one real estate tax bill which the corporation pays and passes along the cost to the shareholders. Real Estate taxes tend to be lower in coops because sales are not recorded.

Both condos and coops have monthly assessments to cover common area costs. Usually coops have a higher monthly assessment because real estate taxes for the corporation are collected monthly from shareholders. Other expense items such as utilities (heat, water, electric) are also included.

Financing is available for both condos and coops. The association of a coop may require a bigger downpayment from a shareholder.

If you would like to receive more  information about condos or coops please feel free to contact me personally at www.jacklewitz.com.